1. Litigation, fines and penalties…

If found liable, Harry’s company may be ordered to provide its disgruntled employee with a variety of damages and remedies. For example:

Back Pay: This usually amounts to the sum of lost wages and benefits between the time of the violation and the time at trial.

Value of Lost Benefits: Medical costs, for example.

Cost & Interest: If an employee wins his or her FMLA lawsuit, he or she can recover most costs in connection with the litigation, including filing fees, court reporter fees, witness and subpoena fees, and attorney’s fees.

Of course, the longer the trial goes on, the higher the fees will get. Litigation, however, is just the surface repercussion, a veneer. Typically, the consequences cut deeper, bleeding into other facets of the organization…

2. Demoralized workers…

According to a 2017 survey conducted by WorkForce, 48% of organizations cited concerns over “Declined employee morale” in the aftermath of a labor law mishap.

Taking into account that these laws are designed to protect workers—to keep people happy and safe, to keep things fair—one can see how violating them correlates with a decline in morale.

Starbucks also had a notable PR nightmare after being accused of leaning on an unfair scheduling practice known as “clopening”, which demands that the employee who closes the store come back the very next morning to open it back up. The public scrutiny was relentless.

Workforce Management for the HR Leader’s Soul

This book will help you create a healthy, rewarding environment for the people that keep your company moving forward.